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January 25, 2013

WHERE NOW FOR CHINA? A long-awaited blueprint on redistribution of income is expected shortly, there will be further stimulus to maintain modest growth, and continuing focus on internationalisation of the RMB. But one leading analyst warns: ‘Expect conflicting interests and inconsistency’. China’s finance sector, along with aviation, appear to be the areas singled out as the two pillars of future growth. But President Xi Jinping and Premier Li Keqiang will face challenges from entrenched interests – in business, in the provincial power structures, and from the princelings . . .